As others have said, this will unfortunately be the end of loyalty to Hyatt. They just don't have the footprint necessary for this. I stay way more than 60 nights a year in hotels -- but there simply aren't enough Hyatts to get me to 60 nights. I choose Hyatt whenever I can -- even sometimes when it means staying a bit further away or paying a bit more -- but even stretching that to the limits I won't hit 60. Without the benefits I receive for hitting the 25 stays I hit right now, it won't be worth seeking out Hyatt at all. My award stays will likely still be with Hyatt due to the ability to rack up URs and transfer for better value per point than anyone else, but my paid stays will go to Hilton. Gold from a CC gets me breakfast. Matched Diamond has been getting me lounge access and some decent room upgrades. I can trip over a Hilton anywhere I turn, so getting the 5 extra stays to hit 30 for Diamond status would be simple, as would spending $40k/year on one of their CCs. I'm sure some will say I'm crazy, but Hilton has treated me very well with my matched Diamond status over the past year. The DSUs, lounge access / nice breakfasts, and 4pm guaranteed checkout were what kept me seeking out Hyatts. That said, the Conrad Dubai gave me a 6pm late checkout last year when I only asked for 2pm (they asked what time my flight was and automatically offered a later checkout since my flight was late). On the flip side, I've had to argue for late checkout at a few Hyatt Place/House properties this year in addition to the expected resistance at the Andaz Maui (though I did get 4pm on one of my 3 rooms at least).
In the end, I know these programs will constantly change. I'm not surprised to see a change in this direction from a hotel program -- I'm just surprised to see it from a program with this tiny a footprint. I'm constantly surprised by the lack of a Hyatt in cities that are plenty big enough to have one.
My one disappointment in this is that I did specifically qualify this year with plans in mind for the DSUs/Diamond benefits next year. I would be incredibly bitter if Hyatt does not honor the terms under which I qualified for the status I've got through February 2018. I hope that isn't their intention.